Real estate prices in Dubai in US dollars and UAE dirhams

With the rising prices witnessed in global markets for all goods and raw materials, this has also extended to real estate markets and the construction sector. Dubai’s real estate market has been clearly affected. What are these impacts? How have they reflected on the property market? Is there potential for further increases? We will try to answer these questions according to the general real estate market index globally and specifically in Dubai.

Dubai Real Estate Price Index

With the rise in global market indices, this has clearly impacted the Dubai real estate market. In the first half of 2025, the Dubai Land Department recorded more than 125,500 real estate transactions with a total value of about 431 billion AED, an increase of around 25% compared to the same period last year. This figure represents a record leap, indicating increased local and international demand for properties in the emirate.

During the second quarter of 2025, residential property prices increased by 13.7% year-on-year, with the average general price reaching 1,809 AED per square foot, reflecting a 21.6% growth above the highest price recorded in 2014. Notably, the luxury villa sector recorded even higher figures, with prices reaching around 2,088 AED per square foot, an annual increase of 16% and a 43.5% growth since 2014.

The market situation was also reflected in the rise of ready property sales to 37 billion AED in May 2025, an increase of more than 145% compared to the same period in 2024.

According to real estate research companies, home prices are expected to rise by an additional 8% in 2026, after a 20% growth in 2024, further boosting the ongoing real estate momentum in Dubai.

Read also: Comprehensive Guide to the Cheapest Apartment Prices in Dubai

What are the real estate prices in Dubai in US dollars?

In 2026, real estate prices in Dubai range between $490 and $575 per square foot, with the average price for residential units about $495, while luxury villa prices reach $575 per square foot.

Average real estate prices in Dubai in UAE dirhams

Read also: Apartment Prices in Dubai 2026

Are real estate prices in Dubai expected to rise further?

After the second half of this year started with a remarkable increase, it is expected to continue rising, considering the sector’s growth, which means more sales and higher profits for investors. In July (the seventh month) of the current year, 7,092 transactions were recorded, an increase of 63.56% compared to the same month last year. This means that total real estate transactions have reached 45,793 so far, marking a record high not seen in over 14 years.

With a deeper analytical look, the villa sector has led this market for the past two years, driving price increases and making Dubai properties highly sought after by investors. On the other hand, the residential apartment sector has struggled with single-digit price increases, but official statistics also show promising growth in this sector. This means attracting more investors who hope for higher investment returns in Dubai, where the lifestyle is luxurious.

Therefore, we can say that Dubai’s real estate market is heading towards increased demand and consequently higher prices, after gaining a strong reputation as a very suitable destination for investors, as it enhances security, growth, and abundant profit opportunities. The market is expected to become even more attractive to investors with the comfortable conditions offered by the emirate’s government and ongoing incentives, such as golden and silver visas and other benefits, leading to more investment and satisfactory returns.

Are real estate prices in Dubai attractive for investment?

Yes, real estate prices in Dubai remain attractive for investment in 2026. There were 92 transactions for ultra-luxury properties exceeding $10 million in the first half of 2025, representing a significant increase compared to the same period last year. This increase reflects investor confidence in Dubai’s real estate market and confirms the continued strong demand, especially for luxury properties, further enhancing the city’s appeal as a global investment destination.

Imtilak Global’s services for those wishing to buy property in Dubai

With the continuous increase in demand for properties through Imtilak Global in Dubai, you can browse all property offers and benefit from the great advantages provided by the government in the emirate for apartments, villas, standalone houses, land, and commercial shops. You can own a property that suits your choice and aspirations for the promising future in the city of finance, business, and successful investment that investors from all over the world seek.

For more details and information, or to request current offers, do not hesitate to contact Imtilak Global, your real estate consultant in Dubai.

Questions and Answers about Real Estate Prices in Dubai

Edited by: Imtilak Global Real Estate Company©